The age 26 limit is to be able to stay on the family plan. This can be done regardless of tax-dependent status. If they are not your tax dependent, then they are a separate tax family. You follow the instructions for "two tax families sharing a single plan". The problem is that it is staying on your plan. Unless you are fortunate enough to have one of the rare ACA plans that has nationwide coverage, it will not provide much coverag in a different state.Thank you so much for your insight. He found a part time consulting job in FL to help design medical device but his yearly income on 1099 would be around 8K - well short of any ACA subsidy on his own. His college wont allow option 4(mandate that every student has to be insured). Option 5/6 will be more expensive than what college will provide him. I know gifting is not an option as it wont add anything to his AGI. I have 529 plan for him - would over withdrawal add to his income? Would it also impose 10% penalty?Good catch, thank you.
I guess there's option 4, go uninsured, but I'd also guess that Bogleheads would generally recoil at the thought of that. Or option 5, buy an ACA policy and just don't get any subsidies, or option 6, buy a policy off exchange.
As posted in my original post that healthcare.gov mentions that non-tax dependent children can get ACA as long as they are below 26 but I cant find any details regarding that and how to best approach.
Statistics: Posted by marcopolo — Thu May 30, 2024 2:49 am — Replies 26 — Views 1038